Nifty Outlook for 31 Mar 2023

Nifty Outlook for 31 Mar 2023
Nifty Outlook for 31 Mar 2023

by Ruchit Jain Last Updated: Apr 03, 2023 - 04:03 pm 1.9k Views
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Nifty traded in a narrow range for most part of the session on the March series expiry day. However, the last hour buying resulted in an upmove in the indices and Nifty ended the day tad below 17100 with gains of three-fourth of a percent; while the Bank Nifty index ended tad below 40000 mark.

Nifty Today:

 

It was a typical expiry day wherein the Nifty traded around the 17000 mark for most of the day as the 17000 strike price options had seen significant build up in the last two trading sessions. Then we witnessed a positive momentum in last half an hour which led to a positive close on the indices. The broader markets witnessed a decent upmove in Wednesday’s session post the sharp down move seen in last few sessions. This was much required as many cash segment stocks had seen sharp correction and were in oversold zone as per the RSI readings. Now Nifty has been able to hold its support of 16900-16850 support zone so far and has consolidated in a range in last couple of weeks. However, the resistance end of the range at 17200 will be a crucial level and the index needs to surpass that hurdle for any short term positivity. Thus, a breakout beyond the range of 17200-16850 will lead to the next directional move in the short term. Traders are advised to focus on stock specific strategies at the momentum and trade in the index in the direction of the breakout.

 

Nifty recovers on expiry day, buying interest seen in midcap stocks

 

Nifty Outlook Graph

 

For Bank Nifty, 40200 is the resistance end of the recent consolidation phase. In last couple of sessions, the banking index has shown a relative outperformance. A breakout above 40200 could then lead to a decent buying interest in the banking stocks in the short term.

 

Nifty & Bank Nifty Levels:

 

Nifty Levels

Bank Nifty Levels

Support 1

16970

39660

Support 2

16860

39400

Resistance 1

17160

40100

Resistance 2

17240

40300

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About the Author

Ruchit Jain is Lead Research Analyst at 5paisa. He has a vast experience of 14 years in this field and is proficient in Technical and Derivatives Research. He has completed his CMT (U.S.A.) and has done Masters in the field of Finance at Mumbai University.

Disclaimer

Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.
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